Telangana to Save Rs 650 cr on Office Rentals

At a review meeting held with secretaries of all departments on December 23, Chief Minister A. Revanth Reddy set January 26 as the deadline for shifting government offices from rented premises. He stated that no government office should continue in private buildings if suitable government infrastructure was available.

Sources said the government had spent close to `7,800 crore on rents for government offices over the past 12 years, with the annual burden averaging around `650 crore. Even after the formation of new districts and mandals to decentralise administration, permanent office infrastructure was not created at the desired pace, forcing many departments to continue functioning from rented buildings, including in high-rent localities in Hyderabad.
The Chief Minister said savings generated by eliminating rent payments would be channelled towards development and welfare programmes, while also ensuring government offices have permanent, functional premises across the state.

Revanth Reddy directed departments to compile a comprehensive inventory of vacant and underutilised government properties and prioritise shifting offices at the earliest. Where government buildings are unavailable, he said land should be identified for construction of permanent offices.

Expressing strong displeasure, Revanth Reddy took note of several office buildings in Hyderabad that were vacated by the Andhra Pradesh government but have remained unused since 2019.

He questioned officials on why these assets were not put to effective use despite the acute financial burden caused by rental expenses, underlining that continued payment of rents amounted to avoidable wastage of public money and insisted on immediate corrective steps.